XX54 University of Wisconsin Hospitals and Clinics Authority.
XX55 University of Wisconsin Hospitals and Clinics Board.
XX56 University of Wisconsin System.
XX57 Veterans affairs.
XX58 Workforce development.
XX59 Other.
For example, for general nonstatutory provisions relating to the historical
society, see Section 9125. For any agency that is not assigned a two-digit
identification number and that is attached to another agency, see the number of the
latter agency. For any other agency not assigned a two-digit identification number
or any provision that does not relate to the functions of a particular agency, see
number "59" (other) within each type of provision.
In order to facilitate amendment drafting and the enrolling process, separate
section numbers and headings appear for each type of provision and for each state
agency, even if there are no provisions included in that section number and heading.

Section numbers and headings for which there are no provisions will be deleted in
enrolling and will not appear in the published act.
Following is a list of the most commonly used acronyms appearing in the
analysis:
DATCPDepartment of Agriculture, Trade and Consumer Protection
DERDepartment of Employment Relations
DETFDepartment of Employee Trust Funds
DFIDepartment of Financial Institutions
DHFSDepartment of Health and Family Services
DMADepartment of Military Affairs
DNRDepartment of Natural Resources
DOADepartment of Administration
DOCDepartment of Corrections
DOJDepartment of Justice
DORDepartment of Revenue
DORLDepartment of Regulation and Licensing
DOTDepartment of Transportation
DPIDepartment of Public Instruction
DVADepartment of Veterans Affairs
DWDDepartment of Workforce Development
JCFJoint Committee on Finance
OCIOffice of the Commissioner of Insurance
PSCPublic Service Commission
UWUniversity of Wisconsin
WHEDAWisconsin Housing and Economic Development Authority
WHEFAWisconsin Health and Educational Facilities Authority
__________________________________________________________________
Agriculture
Agricultural producer security
This bill changes the laws concerning milk contractors, grain dealers, grain
warehouse keepers, and vegetable contractors (contractors). A milk contractor is a
person who buys milk from milk producers or who markets milk on behalf of
producers. A grain dealer is a person who buys grain from grain producers or who
markets grain on behalf of producers. A grain warehouse keeper is a person who
operates a warehouse in which the person stores grain that belongs to someone else.
A vegetable contractor is a person who buys vegetables from vegetable producers for
use in food processing or who markets vegetables for use in food processing on behalf
of producers.
Current law requires certain contractors to post security with DATCP to
provide payment to producers in case the contractors default on payments owed to
producers. This bill establishes a segregated fund, called the agricultural producer
security fund (the fund), into which certain contractors must pay, and out of which

DATCP provides payment to producers when those contractors default on payments
owed to producers. The statutory changes concerning agricultural producer security
take effect in 2002.
Milk contractors
Under current law, persons who operate dairy plants generally must be
licensed by DATCP. There is no separate licensing requirement for milk contractors.
Under current law, DATCP may not issue a license for a dairy plant unless the
applicant's financial condition is such as to reasonably ensure prompt payment to
milk producers. If a dairy plant operator does not meet minimum financial
standards, the operator must file a bond or other security with DATCP or must
provide for a trustee who receives payment for all dairy products produced by the
dairy plant and who pays producers.
This bill requires a milk contractor to obtain a license from DATCP. A licensed
milk contractor that files financial statements which show that the milk contractor
does not meet minimum financial standards, or that does not file annual and
quarterly financial statements, must contribute to the fund unless the contractor is
disqualified from the fund. If a milk contractor that contributes to the fund defaults
on payments to producers, DATCP pays default claims from the fund.
A milk contractor that is required to file security when first licensed (because
the contractor has negative equity) is disqualified from the fund until DATCP
releases the security. A milk contractor is disqualified from the fund if DATCP
denies, suspends, or revokes the contractor's license. DATCP may also disqualify a
milk contractor from the fund for other reasons, such as failing to pay required fund
assessments. If DATCP disqualifies a milk contractor from the fund and the milk
contractor files a financial statement that shows that the contractor does not meet
minimum financial standards, the milk contractor may not act as a milk contractor
in this state.
The bill establishes the formula for determining the amount of the assessments
that must be paid by a milk contractor that contributes to the fund, except that
DATCP may, by rule, provide for a different formula. The assessments are based on
a milk contractor's financial condition, the amount spent to procure milk from
producers, and the number of consecutive years that the contractor has contributed
to the fund.
The bill requires a milk contractor to maintain insurance that covers all milk
and milk products in the possession of the milk contractor.
As under current law, the bill requires a milk contractor to pay a monthly fee
to DATCP, based on the amount of milk that the milk contractor procures. Under the
bill, if the balance in the fund contributed by milk contractors exceeds $4,000,000 on
any February 28, DATCP must use 50% of the excess to reduce these monthly fees.
Grain dealers
Under current law, most grain dealers are required to be licensed. If a grain
dealer does not meet minimum financial standards, the grain dealer is required to
file security with DATCP.

Under this bill, a grain dealer must obtain a license from DATCP unless the
dealer pays cash on delivery for all producer-owned grain that the dealer procures
or the dealer buys grain solely for the dealer's own use as feed or seed and spends less
than $400,000 per license year for that grain. A grain dealer that is required to be
licensed must contribute to the fund, unless the dealer is disqualified. If a grain
dealer that contributes to the fund defaults on payments to producers, DATCP pays
default claims from the fund.
A grain dealer that is required to file security (because the dealer has negative
equity) with DATCP when the grain dealer is first licensed under this bill is
disqualified from the fund until DATCP releases the security. A grain dealer is
disqualified from the fund, and required to pay cash on delivery for grain, if DATCP
denies, suspends, or revokes the dealer's license or if DATCP disqualifies the dealer
for cause.
The bill establishes the formula for determining the amount of the assessments
that must be paid by a grain dealer that contributes to the fund, except that DATCP
may, by rule, provide for a different formula. The assessments are based on a grain
dealer's financial condition, the amount spent to procure grain from producers, the
amount incurred under deferred payment contracts, and the number of consecutive
years that the dealer has contributed to the fund.
The bill requires a grain dealer to maintain insurance to cover all grain in the
custody of the grain dealer.
Under the bill, grain dealer license fees vary based on the amount that the grain
dealer pays for grain during a license year and the number of trucks used to haul
grain. Under the bill, if the balance in the fund contributed by grain dealers exceeds
$2,000,000 on any June 30, DATCP must use 50% of the excess to reduce license fees.
Grain warehouse keepers
Current law requires a grain warehouse keeper that holds 50,000 or more
bushels of grain for others at any time to obtain a license from DATCP. A grain
warehouse keeper that does not satisfy minimum financial standards must file
security with DATCP.
Under this bill, a licensed grain warehouse keeper is required to contribute to
the fund, unless the warehouse keeper is disqualified. If a grain warehouse keeper
that contributes to the fund fails to deliver grain to depositors upon demand, DATCP
pays default claims from the fund.
A grain warehouse keeper that is required to file security (because the
warehouse keeper has negative equity) with DATCP when the warehouse keeper is
first licensed under this bill is disqualified from the fund until DATCP releases the
security. A grain warehouse keeper is also disqualified from the fund if DATCP
denies, suspends, or revokes the warehouse keeper's license.
The bill establishes the formula for determining the amount of the assessments
that must be paid by a grain warehouse keeper that contributes to the fund, except
that DATCP may, by rule, provide for a different formula. The assessments are based
on a warehouse keeper's financial condition, the capacity of the warehouses, and the
number of consecutive years that the warehouse keeper has contributed to the fund.

The bill specifies annual grain warehouse keeper fees that are based on
combined warehouse capacity. Under the bill, if the balance in the fund contributed
by grain warehouse keepers exceeds $300,000 on any June 30, DATCP must use
12.5% of the excess to reduce license fees.
Vegetable contractors
Current law requires a vegetable contractor to obtain a registration certificate
from DATCP. A vegetable contractor that does not meet minimum financial
standards must file security with DATCP unless the contractor makes payment on
delivery for all vegetables obtained from producers or the contractor is a
producer-owned cooperative doing business solely with its producer-owners.
This bill requires a vegetable contractor to obtain a license from DATCP. A
licensed vegetable contractor must contribute to the fund unless the contractor
makes payment on delivery for all vegetables obtained from producers, the
contractor is a producer-owned cooperative that procures vegetables only from its
producer owners, or the contractor is disqualified. If a vegetable contractor that
contributes to the fund defaults on payments to producers, DATCP pays default
claims from the fund.
A vegetable contractor that is required to file security with DATCP when the
vegetable contractor is first licensed under this bill because the contractor has
negative equity is disqualified from the fund until DATCP releases the security. A
vegetable contractor is disqualified from the fund if DATCP denies, suspends, or
revokes the contractor's license. A vegetable contractor is disqualified from the fund,
and required to pay cash on delivery for all vegetables received from producers, if
DATCP issues a written notice disqualifying the contractor for cause, including
failure to pay fund assessments when due.
The bill establishes the formula for determining the amount of the assessments
that must be paid by a vegetable contractor that contributes to the fund, except that
DATCP may, by rule, provide for a different formula. The assessments are based on
a vegetable contractor's financial condition, the amount spent to procure vegetables
from producers, the amount incurred under deferred payment contracts, and the
number of consecutive years that the contractor has contributed to the fund.
The bill requires a vegetable contractor to maintain insurance to cover all
vegetables in the custody of the contractor, unless the vegetable contractor pays cash
on delivery for all vegetables or the contractor is a producer-owned cooperative that
procures vegetables only from its producer owners.
Under the bill, vegetable contractor license fees are based on the amount that
a vegetable contractor owed to vegetable producers over the course of the contractor's
most recent fiscal year. Under the bill, if the balance in the fund contributed by
vegetable contractors exceeds $1,000,000 on any November 30, DATCP must use
50% of the excess to reduce license fees.
Recovery proceedings and administration
Under this bill, when contractors who are licensed, or required to be licensed,
fail to make payments when due or when grain warehouse keepers fail to return
stored grain upon demand, producers or their agents may file default claims with
DATCP.

The bill specifies payment amounts for each claim against a contractor that was
contributing to the fund when the default occurred. For a claim against a milk
contractor or grain dealer, the payment amount is 90% of the first $20,000 allowed,
85% of the next $20,000 allowed, 80% of the next $20,000 allowed, and 75% of any
amount allowed in excess of $60,000. For a claim against a grain warehouse keeper,
the payment amount is 100% of the first $100,000 allowed. For a claim against a
vegetable contractor, the payment amount is 90% of the first $40,000 allowed, 85%
of the next $40,000 allowed, 80% of the next $40,000 allowed, and 75% of any amount
allowed in excess of $120,000. If a contractor was not contributing to the fund when
the default occurred but had posted security with DATCP, DATCP uses the security
proceeds to pay the full amount of the allowed claims, except that, as under current
law, if the security is not adequate to pay the full amount of the allowed claims,
DATCP pays the claimants on a prorated basis. A claimant that does not receive full
payment may sue the contractor for the balance of the allowed claim.
The bill requires DATCP to obtain three surety bonds, called industry bonds.
One bond is to secure payments of claims against contributing milk contractors, one
to secure payments of claims against contributing grain dealers and warehouse
keepers, and one to secure payment of claims against contributing vegetable
contractors. In addition, the bill requires DATCP to obtain a blanket surety bond.
The bill requires DATCP to make a demand against the appropriate industry bond
if payments of claims against contributing contractors in that industry exceed a
threshold specified in the bill. The bill requires DATCP to make a demand against
the blanket bond if claims against contributing contractors in an industry exceed the
amount available under the industry bond.
The bill authorizes DATCP to demand that a defaulting contractor reimburse
DATCP for any claim amounts that were paid from the fund because of the
contractor's default. The bill also authorizes a person who issues an industry bond
or the blanket bond to require a defaulting contractor to reimburse the amounts that
the person paid out because of the contractor's default.
Other agriculture
Under current law, for a person to claim the farmland preservation tax credit,
the land to which the claim relates must be subject either to a farmland preservation
agreement or to an exclusive agricultural use zoning ordinance. A farmland
preservation agreement is between the landowner and DATCP. The agreement
commits the owner to keep the land in agricultural use for the duration of the
agreement, up to 25 years, although DATCP may release land from an agreement
under certain circumstances. Under current law, in some of the circumstances under
which DATCP may release land from a farmland preservation agreement, or if land
is rezoned from exclusive agricultural use, DATCP is required to file a lien against
the land in the amount of the farmland preservation credit received by the owner
during the preceding ten years.
This bill eliminates the requirement that DATCP file a lien against land that
is released from a farmland preservation agreement or that is rezoned from exclusive
agricultural use. Under the bill, DATCP may not release land from a farmland

preservation agreement until the owner pays $50 per acre to this state, except in
certain situations such as the death or disability of the owner. Also under the bill,
a local governmental unit must require a payment of $60 per acre as a condition of
rezoning land from exclusive agricultural zoning. The local governmental unit
forwards the payment to the state.
Under current law, if DATCP finds that plants or other pest-harboring
materials on agricultural lands or agricultural business premises are so infested
with injurious pests as to constitute a hazard to plant or animal life in this state,
DATCP may order the property owner to treat the premises or treat or destroy the
infested plants or other material. If the property owner fails to comply with the order,
DATCP may treat the premises or treat or destroy the infested plants or other
material. This bill eliminates the provision that restricts DATCP's authority
regarding treatment of infested premises and treatment or destruction of infested
plants and other material to agricultural lands and agricultural business premises.
Under the current Soil and Water Resource Management Program, DATCP
awards grants to counties to help the counties reduce soil erosion and water
pollution. This bill increases the authorized general obligation bonding authority for
the Soil and Water Resource Management Program by $7,000,000.
Under current law, DATCP awards agricultural research and development
grants to fund demonstration projects, feasibility analyses, and applied research on
new or alternative technologies and practices that will stimulate agricultural
development. This bill authorizes DATCP to award grants and provide technical
assistance to support preliminary research on potential business enterprises that
may increase the value of raw agricultural commodities. The bill provides Indian
gaming receipts for the new grant program and for the existing agricultural research
and development grant program.
Under current law, a person is subject to a fine or imprisonment if the person
violates certain laws enforced by DATCP, including laws relating to the
manufacture, distribution, and sale of commercial feed, laws relating to the safety
of certain consumer products, and laws relating to hazardous substances. This bill
provides that a person who violates any of these laws may be subject to a forfeiture
(civil monetary penalty) or to the existing criminal penalties.
Current law provides for a World Dairy Center Authority. The duties of the
authority include establishing a center for the development of dairying in the United
States and the world. This bill eliminates the World Dairy Center Authority.
Commerce and economic development
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